What Happens When You Become Deliquent on Unsecured Debts?

There are two types of debt a person can owe. Secured debts, like car loans, are secured by the vehicle. Some debts are considered unsecured, such as credit card debt and medical bills. When you begin getting behind on these debts, there are several things that can begin to happen. It is important you are aware of the steps you need to take to protect your rights.

When you first get behind on your bills, you will begin receiving past due notices. If you ignore these notices, they continue to become more threatening. It is important you are aware unsecured debt does not allow for the seizure of your property. The creditor may take you to court and pursue the legal right to garnish your wages, take money from your bank accounts or seize your property.

If the creditor is threatening further action, it is important you do all you can to settle your debt. You will need to contact each creditor you owe and see what type of payment arrangements they are willing to make with you. In some instances, creditors are not willing to help. If you have done all you can to settle your debt and are not making any progress, you may want to consider consulting with a lawyer.

Sometimes, a lawyer can contact those creditors you owe to work out satisfactory settlement options. In some cases, the best option is filing for bankruptcy. If you are dealing with more debt than you can handle, it is in your best interest to contact an attorney and get advice.

An attorney who works with debt relief can give you valuable advice and help to steer you in the right direction of getting your debt cleared. If bankruptcy seems the only viable option, your attorney can assist you in filing.

If you have done all you can to get out of debt but are finding it difficult, contact Bolinske Law. They have helped many people who are dealing with debt and they will be happy to meet with you to go over your options. Call today for your consultation appointment.